Need Tally
for Clients?

Contact Us! Here

  Tally Auditor

License (Renewal)
  Tally Gold

License Renewal

  Tally Silver

License Renewal
  Tally Silver

New Licence
  Tally Gold

New Licence
 
Open DEMAT Account with in 24 Hrs and start investing now!
« General »
Open DEMAT Account in 24 hrs
 How to calculate income tax on stock market gains along with your salary?
 Moonlighting for Additional Income? Know Its Tax Implications
 Have you claimed education cess? Be prepared to pay tax as per the new rules
 Reserve Bank - Integrated Ombudsman Scheme, 2021 (RBIOS, 2021)
 How is tax computed for selling a house?
 How much tax do you pay on equity investments?
 Fuel taxes: Centre s gains striking since FY16
 Tax rules for NRIs on sale of assets located in India
 ITR filing: Know tax rules that apply to freelancers in India
 Delhi Real Estate News: NDMC extends last date for property tax payment with amnesty scheme
 Citizens must file THESE ITR related forms before due date Income Tax Returns

Nations favour tax-based stimulus: E&Y
May, 12th 2009

As India joined a host of other nations in announcing various stimulus packages to tide over the economic crisis, Ernst & Young found that tax-based stimulus packages were the favourites of many countries.

According to a study by the global tax, transaction and advisory services firm, accelerated depreciation programme and and indirect tax changes were the two tax-based measures adopted by India.

While the former seeks to improve cash flow for businesses by allowing them to write off the costs of investments more rapidly, indirect tax changes seek to maintain demand by reducing the costs of goods and services.

"In the fiscal stimulus packages announced in phases from December 2008 to March 2009, by the Indian government, India seems to have concentrated on indirect tax cuts, accompanied by increased government spending and some measure of accelerated depreciation provision policies" says Satya Poddar, Partner, Tax policy services, Ernst & Young, India.

While spending measures have received more mainstream attention over the last few months, tax measures actually represent 56% of the net effect of fiscal stimulus, according to a recent OECD report.

Other methods included carryforward and carryback provisions, reduction in corporate income tax rates, enhancements to the research and development tax credit and personal income tax measures.

Carryforward and carryback provisions are meant to provide cash flow assistance by giving traditionally profitable companies more latitude in using net operating loss credits they are accumulating in the current environment.

The Ernst & Young study covered 24 nations.

 

Home | About Us | Terms and Conditions | Contact Us
Copyright 2024 CAinINDIA All Right Reserved.
Designed and Developed by Ritz Consulting